• Operating income excluding other operating income was up by 19% to Rs 576.39 crore. Strong sales growth in high teen was largely due to higher volume and marginal increase in realisation. Sales volume for the quarter was up by 17% to Rs 556.80 crore and the realisation per MT was up by 2%.
• The value of production for the quarter was higher by 13% to Rs 589.16 crore and the sales for the quarter was 2.2% lower than value of production. In comparison the sales in corresponding previous period was 7.1% lower than value of production. The inventory built up will get liquidated going forward.
• Other operating income comprising fully of export incentive was up by 36% to Rs 15.13 crore and thus the total operating income was up by 19% to Rs 576.39 crore.
• Sharp 670 bps contraction in OPM to 22% was largely due to higher material cost. Material cost as proportion to sales (net of excise and stocks) was up by 720 bps to 41.5%. Though the staff and OE were lower by 30 bps (to 4.7%) and 160 bps (to 31.5%) respectively that could not fully offset the rise in material cost leading to sharp contraction in OPM. Thus hit by lower OPM, the operating profit was down by 9% to Rs 129.85 crore irrespective 19% growth in sales.
• Other income was down by 39% to Rs 18.50 crore. The interest cost up by 18% to Rs 1.40 crore and the depreciation was up by 2% to Rs 17.76 crore. Thus the PBT was down by 16% to Rs 129.19 crore.
• Taxation was up by 10% to Rs 40.49 crore but the tax rate was higher 31.3% for the quarter compared to 29.2% in corresponding previous period. And thus the de-growth at PAT was 19% to Rs 88.70 crore.

Yearly performance

Sales was up by 7% to Rs 2320.34 crore but with 70 bps contraction in OPM, the growth at operating profit restricted to 4% (to Rs 634.57 crore). After accounting for higher other income, lower interest cost and higher depreciation, the PBT was up by 3% to Rs 662.04 crore. The taxation was up by 11% to Rs 204.83 crore and thus the PAT was flat at Rs 457.21 crore. Eventually the total comprehensive income was down by 5% to Rs 438.91 crore hit largely by higher other comprehensive expenses which was Rs 17.88 crore for the period compared to an income of RS 3.80 crore.

Order book

Order book as at July 1, 2017 was Rs 536 crore.